'Radical change' needed in ecommerce, says Robert Gentz

"We need radical change," said Robert Gentz to the WIRED Retail event at St Pancras Renaissance Hotel in London.

Gentz heads up Zalando, a multinational e-commerce start-up that specialises in fashion and shoes. Founded in Berlin in 2008, Zalando now turns over $3billion a year and services 16 million customers. But Gentz has decided to “rethink the entire business”. "We started as a fashion retail company," he said. "But now we’re going to be a fashion technology company".

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Invited by an investor to look into business opportunities in China, Gentz developed a "completely different kind of system" in which commerce can operate. "I was shown a Chinese webshop, and it was totally different to the kind of thing you get in Europe," he said. "I realised that in order to be successful, you have to make your own platform, and focus only on this platform".

Gallery: 'Radical change' needed in ecommerce, says Robert Gentz

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In China, the online and offline world are deeply connected. Consumers can connect to WeChat - an IM platform similar to WhatsApp - and discuss fashion options with a stylist. They can then order in-app and expect a delivery as quickly as three hours later. "The platforms in China were so connected," Gentz said. "So they’re already able to deliver consumer experiences that are far beyond what we get in Europe."

When he returned to Europe, Zalando was floated on the German Stock Exchange -- one of the biggest tech IPOs in decades. Then, a team of 25 senior executives gathered to answer the question ‘what is happening in Europe?’. They concluded that the Chinese principles of connectivity would also apply in Europe.

Robert Gentz

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Zalando now offers services including three hour local delivery and phone calls and instant messaging with stylists.

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Surfing on Instagram, you might see a celebrity wearing a particular pair of trainers. Zalando can now tell you exactly what brand the trainers are, the colours they’re available in and how much they cost. It can then get the trainers to you in 35 minutes.

A company can’t do this alone, says Gentz, but an ecosystem can. It involves stylists, access to a local inventory, delivery services and more. "If the brands are connected to consumers, if offline and online is connected, an ecosystem can provide better consumer experiences,” he said. "Once we’re connected, we’re able to deliver far better consumer experiences. It just makes sense.”

The fashion sector is set to "grow and grow", Gentz said. And it’s an exciting challenge, not only for the e-commerce world, but also for tech in general. "I love the fashion sector," he said. "It’s a huge market — but we love it because everybody needs it every single day. Nobody here has decided to not get dressed! In ten years, you might not have a car, you might not have a mobile phone, but I’m pretty sure you won’t be naked”.